Wednesday, June 22, 2011

"Buy oil stocks on high crude prices but sell uranium and natural gas, was the advise of a fund manager at Sprott Asset Management's energy fund, which invests in small and mid-sized Canadian companies."

Sunday, June 19, 2011

After a record surge in prices towards a record high just short of $50, silver crashed back down in May to around $32.

Many analysts have struggled to give a reason to these large swings, with some speculating the extreme depreciation was due to price manipulation. “In my heart of hearts I believe it was a manipulation. There was no market, it was a setup. They‘ve just pushed it down. It‘s ridiculous,” said Eric Sprott, CEO of Sprott Asset Management.

Looking ahead, Sprott is preparing for the next bull – run in silver if the US implements QE3. “A lot of that QE1 and QE2 are giving a tailwind to gold and silver. If you want to tell me there‘s going to be a QE3, I‘m going to tell you silver will hit $50 before we even know it,” Sprott added.

Saturday, June 18, 2011

“If you’re in Ireland today, you don’t have any money in banks, particularly if you’re non-Irish," he said. "If you’re in Greece you’re taking your money out. In Portugal you probably have concerns. If you have a fear of the banking system, you go to things like gold.”

Saturday, June 11, 2011

“Well I’ve always believed the fundamental problem with the capitalist system if you will, is the fact that the banks are over-levered. There is only one way to get rid of over-leverage and that is to shrink your balance sheet.

I always find it interesting that every time a bank fails we find out exactly what the losses were and typically not only did the bank lose their capital, but they lost their capital six times over. That’s the average cost, which really means that your dollar of assets was undervalued by about 30 cents on the dollar and I think that’s the case almost throughout the banking system. So if we ever marked things to market, we would be in big trouble.”